National Council of Knights & Ladies of Security v. Scheiber

163 N.W. 781, 137 Minn. 423, 1917 Minn. LEXIS 753
CourtSupreme Court of Minnesota
DecidedJuly 13, 1917
DocketNos. 20,232 — (61)
StatusPublished
Cited by5 cases

This text of 163 N.W. 781 (National Council of Knights & Ladies of Security v. Scheiber) is published on Counsel Stack Legal Research, covering Supreme Court of Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
National Council of Knights & Ladies of Security v. Scheiber, 163 N.W. 781, 137 Minn. 423, 1917 Minn. LEXIS 753 (Mich. 1917).

Opinion

Dibell, C.

This is an action in equity to cancel a policy of insurance issued by the plaintiff upon the life of Anna R. Scheiber. After issue was joined and before trial Mrs. Scheiber died. Upon the application of the plaintiff, Willie Sillerman and Nathan Rosenhaft, the beneficiaries in the policy, [424]*424were substituted as defendants in place of Mrs. Scheiber. Sillerman resided in Minnesota and the application was personally served upon him within the state. Rosenhaft resided in California and the application was personally served upon him there and it was not otherwise served. Rosenhaft appeals from the order granting the plaintiff’s motion to substitute and denying his motion to set aside the service.

The statute under which the substitution was made is as follows:

“No action shall abate by reason of the death or disability of a party, or the transfer of his interest, if the cause of action continues or survives. In such cases the court, on motion, may substitute the representative or successor in interest, or, in eases of transfer of interest, may allow the action to proceed in the name of the original party. And after a verdict, decision, or report of a referee, fixing the amount of damages for a wrong, such action shall not abate by the death of any party thereto.” G. S. 1913, § 7685.

The cause of action survived the death of Mrs. Scheiber and it was proper to substitute the beneficiaries in her jfiace. National Council v. Weisler, 131 Minn. 365, 155 N. W. 396; Kanevsky v. National Council, 132 Minn. 422, 157 N. W. 646. The only question is whether Rosenhaft was properly substituted on a service made in California.

At common law all actions abated upon the death of the sole plaintiff or the sole defendant. Death terminated them. If the cause of action survived, the representative or successor in interest could sue or be sued in a new action. In equity the death of a party affected a temporary suspension of the right to proceed for want of parties. Story, Eq. Pl. (10th ed.) § 354; 1 R. C. L. 20; 5 Enc. Pl. & Pr. 790; 1 C. J. 153. By force of the statute the action is continued much upon the equity theory. The proceeding by motion authorized by the statute is a substitute for the former bill of revivor. Landis v. Olds, 9 Minn. 79 (90); Willoughby v. St. Paul German Ins. Co. 80 Minn. 432, 83 N. W. 377; the death of a party suspends the progress of the action and the revival operates as a continuation of the original suit. Story, Eq. Pl. § 354; 1 Cyc. 84, 85; 1 R. C. L. 20-24; 5 Enc. Pl. & Pr. 790; 1 C. J. 155; Clarke v. Mathewson, 12 Pet. 164, 9 L. ed. 1041, and citations thereof in 3 Rose’s Notes (Rev. ed.) 277; U. S. Comp. St. 1916, § 1592, and cases cited.

The action before us is not in rein. There has been no seizure of [425]*425property. It is not an action affecting real property. It is a transitory action in equity and is in personam. It is not one in which jurisdiction can be acquired by constructive service of process under G. S. 1913, §§ 7737, 7738. Ever since Pennoyer v. Neff, 95 U. S. 714, it has been settled law that in such an action constructive service by publication or personal service outside the state is not due process and does not confer jurisdiction. Counsel for the plaintiff does not claim otherwise; but he argues earnestly and plausibly that the action is still pending notwithstanding the death of the defendant, that the effect of death is merely to suspend progress because of the absence of parties, and that tb constitute due process it is enough that those interested are warned or cited, and are given an opportunity to take part in the litigation, and that judgment entered after substitution, made on notice to them served outside the state, will conclude them; and he calls attention to the doctrine settled in this state that a judgment entered against the original defendant, since deceased, if jurisdiction was acquired in his lifetime, is not void and cannot be attacked collaterally. Hayes v. Shaw, 20 Minn. 355 (405); Stocking v. Hanson, 22 Minn. 542; Poupore v. Stone-Ordean-Wells Co. 132 Minn. 409, 157 N. W. 648; 2 Dunnell, Minn. Dig. § 5046. Such a judgment is not before us nor is this a collateral attack.

Council for the defendant argues, and this is his one claim, that jurisdiction can be acquired of a nonresident so as to authorize substitution only by such service as is required of original process. He cites McGrath v. Weiller, 98 App. Div. 291, 90 N. Y. Supp. 420. This ease holds that an action cannot be revived against a foreign executor of a deceased defendant. Filer & Stowell Co. v. Rainey (C. C.) 120 Fed. 718; Matter of Webb, 11 Hun, 124, and C. F. Stromeyer Co. v. Aldrich (D. C.) 227 Fed. 960, are of like effect, and there are many others. Such cases proceed upon the theory that a foreign representative cannot be sued in a jurisdiction other than the one in which he is appointed. In such cases the question is one of jurisdiction to sue a foreign representative at all and not of the sufficiency of a service outside the state. They do not lead to a solution of the question before us. In Citizens’ Nat. Bank v. Bang, 112 App. Div. 748, 99 N. Y. Supp. 76, it is suggested that under a similar statute notice cannot travel beyond the borders of the state. In scire facias to revive or continue a dormant judgment, a proceeding having [426]*426some similarity, it is held that notice served outside the state is insufficient. Owens v. Henry, 161 U. S. 642, 16 Sup. Ct. 693, 40 L. ed. 837; Bickerdike v. Allen, 157 Ill. 95, 41 N. E. 740, 29 L. ed. 782. None of these cases are .more than suggestive.

The case bearing most directly upon the question is Brown v. Fletcher’s Estate, 210 U. S. 82, 28 Sup. Ct. 702, 52 L. ed. 966, which affirmed Brown v. Fletcher’s Estate, 146 Mich. 401, 109 N. W. 686, 15 L.R.A. (N.S.) 632, 123 Am. St. 233. The facts are these: Fletcher lived in Michigan. Brown brought an action in equity against him in Massachusetts for an accounting, and personal jurisdiction was acquired. It was pending upon an arbitration agreed upon by stipulation. While the action was in progress Fletcher died. He left a small amount of property in Massachusetts. An administrator was appointed there. Executors were appointed in Michigan. The action was revived and the administrator, was substituted in the Massachusetts action. The Massachusetts statute on substitution in á general way resembles ours. Mass. R. L. 1902, c. 171, § 5, et seq. The Michigan executors and Fletcher’s children and residuary legatees were, by order of the Massachusetts court, notified of the revivor and cited to appear, and the order was personally served upon them in Michigan. They did not appear. Judgment was entered against the Massachusetts administrator, and it was expressly adjudged that the Michigan executors and the representatives of Fletcher served in Michigan were bound by it. This judgment was presented for allowance to the proper probate court in Michigan having jurisdiction of Fletcher’s estate, was disallowed, the probate court was affirmed by the circuit court, and upon appeal to the supreme court the circuit court was affirmed, and upon writ of error the supreme court of the state was affirmed by the Supreme Court of the Hnited States.

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National Council of Knights & Ladies of Security v. Scheiber
169 N.W. 272 (Supreme Court of Minnesota, 1918)
Sillerman v. National Council of Knights & Ladies of Security
163 N.W. 783 (Supreme Court of Minnesota, 1917)

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Bluebook (online)
163 N.W. 781, 137 Minn. 423, 1917 Minn. LEXIS 753, Counsel Stack Legal Research, https://law.counselstack.com/opinion/national-council-of-knights-ladies-of-security-v-scheiber-minn-1917.